Tax Devolution in Wales – Enabling changes to the Welsh Tax Acts
Q1: Do you consider Emergency or ‘fast-track’ Bills appropriate legislative processes to make immediate or very quick changes to the Welsh Tax Acts?
Q2: Can you suggest any changes to the Emergency or ‘fast-track’ Bill process to make them better suited to make immediate or very quick changes to the Welsh Tax Acts?
Q3: Although the Welsh Government do not currently consider an annual Welsh Finance Bill to be a proportionate mechanism to make changes to the Welsh Tax Acts, we would be interested in your views on the potential to introduce such a Bill in the future. Is this an appropriate option? When would be the right time? How might this work? How should this link to the Welsh budget process?
Q4: Are you aware of any examples of international legislative change processes that would be helpful for the Welsh Government to explore?
Q5: Do you agree that arrangements are needed, beyond those already available, to enable amendments to the Welsh Tax Acts to be introduced promptly in particular circumstances?
Q6: Do you consider the principle of using regulation-making powers appropriate to give effect to these changes (as compared to using primary legislation or some other means such as the UK government’s PCTA process)?
Q7: Are there any risks with using a regulation-making powers to give effect to these changes? Please describe using examples if possible.
Q8: Do you agree that power 1 should only apply to changes needed to respond to tax avoidance or evasion activity, compliance with international obligations, or, to address cases of exceptional need? If not in what circumstances should it not apply, and which additional situations should it apply?
Q9: Do you agree that a Senedd motion for power 2 should not be necessary for the Welsh Ministers to make provisional affirmative procedure regulations under power 2?
Q10: What length of period do you consider to be appropriate to provide adequate scrutiny time for changes to be made under power 2?
Q11: Do you agree that the use of power 2 should be subject to a Senedd ‘lock’?
Q12: Do you agree that power 2 should only apply to changes needed to respond to UK budget changes that impact on the resources available to the Welsh Government? If you think it should apply to more circumstances, please set these out.
Q13: Do you consider the use of retrospective legislation to make changes to tax laws appropriate in certain circumstances? If so, which circumstances?
Q14: Are there any particular points that you think should be included or addressed in the protocol document?
Q15: Do you agree with the proposal for repayments that:
a) where the tax-payer has overpaid as a result of the failed regulations they should be entitled to a repayment, and
b) where the tax-payer has underpaid as a result of the failed regulations the WRA should not be able to collect the shortfall.
Q16: Do you consider that power 2 should be used to make any changes to the Welsh Tax Acts that the Welsh Ministers consider to be expedient in the public interest, other than those specified for power 1?
Q17: Do you have any comments on the examples of tax legislative changes described in examples 1 to 6?
Q18: Are you aware of any other examples of tax legislative changes in the UK that will be helpful for the Welsh Government to explore in the context of amending the Welsh Tax Acts?
Initial Regulatory Impact Assessment
Q19: Do you agree with our assessment of the alternative options?
Q20: Are there any particular impacts or costs associated with the any of the options outlined that you wish to raise?